$A up as $US tanks on jobs data

The Australian dollar is sharply higher as the greenback plunges on weak US jobs data.

At 1200 AEST on Monday, the currency was trading at 73.24 US cents, up sharply from 72.47 cents on Friday.

OANDA Australia and Asia-Pacific senior trader Stephen Innes said the Aussie dollar was softening from weekend its high of 73.71 US cents following a disappointing US jobs report on Friday.

However, he said, the currency will likely remain firm on the back of shifting interest rate differential expectations versus the US dollar.

"Despite the fact commodity currencies are sensitive to global growth it might be slower appreciating, the upside in the Australian dollar correction may continue in days ahead," Mr Innes said in a note.

However, he noted that the Reserve Bank's official cash rate decision on Tuesday and US Federal Reserve chair Janet Yellen's speech later on Monday could become obstacles for the local currency.

KEY MOVEMENTS:

One Australian dollar buys:

* 73.24 US cents, from 72.47 cents on Friday

* 78.21 Japanese yen, from 78.82 yen

* 64.53 euro cents, from 64.98 euro cents

* 105.75 New Zealand cents, from 106.29 NZ cents

* 50.91 British pence, from 50.27 pence

Government bond yields:

* CGS 5.25pct March 2019, 1.529pct, from 1.586pct on Friday

* CGS 4.25pct April 2026, 2.172pct, from 2.235pct

Sydney Futures Exchange prices:

* June 2016 10-year bond futures contract, was at 97.825 (implying a yield 2.175 per cent per cent), up sharply from 97.765 (2.235 per cent) on Friday.

* June 2016 3-year bond futures contract, at 98.460 (1.540 per cent), up from 98.400 (1.600 per cent).

(*Currency closes taken at 1700 AEST previous local session, bond market closes taken at 1630 AEST previous local session)